Indian rupee appreciated against dollar on Monday, on increased selling of American currency by exporters and banks. Weak dollar against other major currencies pushed the rupee higher. Some support came with Commerce Minister Suresh Prabhu statement that India’s GDP growth is likely to cross 8% in the next two years and the government is taking a number of steps including formulation of a new industrial policy to double the economy’s size to $5 trillion in 7-8 years. Rupee sentiments remained optimistic with Assocham stating that reducing taxes is the best solution to check the spurt in fuel prices which would also tremendously help India on the exports front. Further, traders await consumer price index (CPI)-based inflation and index of industrial production (IIP) data which will be released on Tuesday. On the global front, US dollar weakened against other currencies overseas ahead of outcome of a historic meeting between the US President Donald Trump and the North Korean leader Kim Jong Un. Moreover, global investors will also look forward to the outcome of monetary policy reviews by the world’s three biggest central banks.
Finally, the rupee ended at 67.43, 8 paisa stronger from its previous close of 67.51 on Friday. The currency touched a high and low of 67.48 and 67.28 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 67.33 and for Euro stood at 79.52 on June 11, 2018. While the RBI’s reference rate for the Yen stood at 61.24, the reference rate for the Great Britain Pound (GBP) stood at 90.37. The reference rates are based on 12 noon rates of a few select banks in Mumbai.
